In a series of Facebook posts, ex-Management Development Institute (MDI) director Dr Mukul Gupta has alleged that government authorities at Centre are involved in a major fraud by letting the NCR-based business school act as a government institution despite its legal status as a private institution. He has also alleged corruption in converting the status of the reputed institute from government institute to a private one in last five years.
An MDI insider, Dr Gupta worked as director in MDI Gurgaon from January 2012 to October, 2014. Prior to his appointment as Director of the institute, Dr Gupta worked with MDI since 2000 as a professor of marketing and had held various administrative positions, heading every academic activity at some point in time.
MDI changed from ‘Government’ to ‘Private’
In his series of allegations, Dr Gupta has also alleged “a conspiracy to convert MDI Gurgaon, a Government Institute into private institution by Malay Mukherjee MD & CEO of IFCI Limited”.
Raising questions over the role of Finance Ministry in remaining ignorant to the changes happening in MDI administration over last 5 years, he also questioned Centre for not acting on the corruption charges despite repeated alerts from the institute’s officials.
“Did Shri Arun Jaitley simply turn a blind eye to the representation dated 19.10.14 from Deans of MDI Gurgaon pointing out the mischief being played out by the then MD & CEO of IFCI Limited. This representation was personally handed over to Shri Simanchal Das, IRS, OSD to FM, in North Block on 19.10.14 by few faculty members from MDI?” he asked in one of his social media posts.
Referring to a letter written by Finance Minister Arun Jaitley to the then Human Resources Development (HRD) minister Smt Smriti Zubin Irani, Dr Gupta claimed that the letter dated July 30, 2015 clearly reflects Mr Jaitley’s personal knowledge that MDI Gurgaon was a government institution.
Affidavit says MDI a private institute; Admission brochure illegally uses national emblem
Contrary to this, the management of MDI has clearly stated its position as a private institution in different Courts.
In two separate affidavits filed before the Hon’ble Delhi High Court and the Hon’ble Punjab & Haryana High Court, MDI Gurgaon has sworn on oath that it is a private institute.
Still, the institute continues to use the national emblem in its official documents. This, Dr Gupta, says is a serious violation of law of land.
Despite being private institute, MDI gets govt Secretary as Board Member with Govt nod
Since the institute claims that being a private institute, it has refused to be under the purview of RTI. This means that the government does not have any control over the functioning of the institute.
In such a circumstance, any likelihood of an officer of the Government to be nominated to serve on the Board of MDI Gurgaon does not arise, Dr Gupta says.
However, the government of India was an accomplice in officially letting the finance secretary be the board member of MDI Gurgaon, Dr Gupta alleged.
The Board of MDI Gurgaon inducted Mr Rajeev Kumar, Secretary Department of Financial Services, Ministry of Finance, Government of India, as a co-opted member of the Board in April 2019 with official permission from Finance Ministry.
But, when the MDI decided to welcome Mr Rajeev Kumar as a board member, “clearly, the board co-opted Mr Rajeev Kumar and not the Secretary Department of Financial Services, Ministry of Finance, Government of India. His primary job as Secretary to Government is of no consequence in this co-option,” Dr Gupta wrote, adding, “this is for Mr Rajeev Kumar, in his personal, individual and non-official position to decide, whether he wishes to join the Board of MDI provided the IAS rule allowed such engagement.”
Under the circumstances, the approval of Hon’ble FM Arun Jaitley for Mr Rajeev Kumar to join Board of MDI Gurgaon vide F.No. A-19011/6/2017-Estt dated 04 April 2019 is VOID ab initio and exceeds the powers of the Hon’ble Finance Minister, Ministry of Finance, Government of India, he claimed.
Established in 1973, MDI is one of the top B-Schools in India known for its academic excellence, high-quality research, high-end executive education and internationalization.
The institute does not have a full-time director currently and its additional charge is with Prof. (Dr.) Atmanand who is the Director of MDI -Murshidabad.